Business News

House prices in the UK have been rising sharply since 2006

Housing prices in the UK grew rapidly in 15 years in 2021, resulting in low interest rates and competition due to the epidemic of overcrowding and stocks remain low.

Prices soared at an annual rate of 10.4 percent in December, making the calendar year the strongest since 2006, according to data from the Nationwide Building Society published Thursday.

The average increase since early 2020, before the epidemic, was 16 percent. This is in stark contrast to the unprecedented economic situation in the UK.

“Despite the constant risk throughout the year, and against Omicron’s diversity, price growth has slowed,” said Jonathan Hopper, chief of Garrington Property Finders.

The price of affordable housing in the UK rose to £ 254,822, an increase of £ 23,902 per year, the largest increase in the one-year fiscal year since the country began collecting data in 1991.

“Demand has remained strong in recent months, even though the post-stamp holiday expires at the end of September,” said Robert Gardner, Nationwide’s chief financial officer. At the same time, the number of homes in the market remains very low throughout the year, which has contributed to the increase in prices. “

This is despite London showing an annual decline of 4.2 percent in the three months to December, one-third or less of Wales, Northern Ireland and the South East, highlighting the need for larger buildings in less crowded areas following the rise. for homework.

However, Gardner said he expects the real estate market to decline next year as stamp holidays encourage more people to bring their purchases to avoid additional taxes. In addition, the variability of the Omicron coronavirus could promote economic slowdown as it weakens the labor market, while rising interest rates “could lead to a slowdown”.

“Real estate prices have skyrocketed over the last 18 months. As a result, housing prices are not as good as they used to be,” he said.

Source link

Related Articles

Leave a Reply

Back to top button